The financial economy of France is on the cusp of a major transformation as the country is gearing up to adopt a strategic Bitcoin Reserve. Lawmaker Éric Ciotti of the Union of the Right and Center (UDR) party has proposed a bill to acquire and hold up to 2% of the cryptocurrency’s total supply.

According to recent reports, this move positions France as a pioneer in digital finance, potentially becoming the first European country to include BTC in its national reserve. Via the adoption of a Bitcoin reserve, France intends to reduce its dependence on traditional currencies and bolster its financial independence.

France to Embrace Strategic Bitcoin Reserve

The UDR party, led by French politician Éric Ciotti, has introduced a bill to create a Bitcoin strategic reserve, with a goal of acquiring and storing 420,000 BTC within the next seven to eight years. One of the main goals of this initiative is to strengthen the country’s financial sovereignty by establishing Bitcoin as a form of “digital gold” for a future strategic reserve asset to reinforce the country’s economic stability.

The bill includes establishing a Public Administrative Establishment (EPA) to administer and monitor the Bitcoin reserve, similar to what exists for France’s gold and foreign exchange reserves. The funding mechanism for the reserve would be multi–faceted, depending on harnessing excess nuclear and hydroelectric energy to create state-run Bitcoin mining operations while also incentivizing existing Bitcoin mining operators in the area through a tax concession.

Though it is a long shot, this bill will face an uncertain road ahead due to unknown support from French lawmakers. However, if the proposal passes, it may serve as a trial balloon for other European countries to implement similar plans for cryptocurrency reserves.

Key Proposals Under the UDR Bill

Notably, the UDR bill outlines several measures to bolster France’s Bitcoin reserve and financial independence. The lawmaker intends to make France follow the footsteps of the US, with the country using confiscated BTCs to fund the reserves. He also recommended daily BTC purchases to bolster the treasury plan. The proposal noted,

“Allocation of a quarter of amounts collected through the Livret A and LDDS savings schemes to daily BTC purchases on the secondary market (approximately 15 million euros per day, or 55,000 BTC per year).”

Further, the bill proposes to allow citizens to pay taxes using cryptocurrency. Also, the party intends to recognize euro-denominated stablecoins as a viable alternative to traditional payment networks, aligning with the EU’s goal to reduce dependence on U.S.-dominated fintech.

A Bold Move Against Digital Euro

In addition to the strategic Bitcoin Reserve proposal, the UDR party has taken a bold stance against the European Central Bank’s potential launch of a central bank digital currency (CBDC). The National Assembly has approved a resolution that opposes the implementation of the digital euro, indicating the potential loss of privacy and economic freedom.

Assembly members argue that a digital euro, issued and managed by a central authority, would take away the financial independence of citizens and allow governments to be aware of, and potentially seize, their bank accounts.

The resolution is aligned with a proposal from Éric Ciotti and the members of the Union of the Right for the Republic that encourages the French government to reject the European Commission’s draft regulation establishing a digital euro to support euro-stablecoins instead, as well as encouraging more national investment into crypto-assets to enhance the financial sovereignty of France.

This action, the Assembly argues, would take steps to protect “fundamental individual rights,” and to maintain monetary sovereignty through the trend towards a digital economy.

Conclusion

In essence, France’s suggestion of a Bitcoin reserve represents a daring step in the pursuit of financial independence and innovation during this digital age. If it moves beyond just suggestion, it could change the monetary policy of the country, challenge the existing primacy of fiat currencies, and pave the way for other European nations to advance with expressions of crypto-based economic systems.

Frequently Asked Questions

1. What is France’s proposed Bitcoin reserve?
   It’s a plan to hold up to 2% of Bitcoin’s total supply as a national reserve to strengthen financial independence.
2. Who introduced the Bitcoin reserve bill?
   French lawmaker Éric Ciotti from the Union of the Right and Centre (UDR) party proposed the bill.
3. How will France fund the Bitcoin reserve?
   The proposal suggests using surplus energy for state-run mining and allocating savings scheme funds for daily BTC purchases.

Glossary

• Bitcoin (BTC): A decentralized digital currency operating without a central bank, often referred to as “digital gold.”
• Bitcoin Reserve: A national strategy to hold Bitcoin as part of a country’s financial assets to enhance economic stability.
• UDR (Union of the Right and Centre): A French political party led by Éric Ciotti that proposed the Bitcoin reserve bill.
• CBDC (Central Bank Digital Currency): A digital version of a country’s fiat currency issued and controlled by its central bank.
• Stablecoin: A cryptocurrency pegged to a stable asset, such as the euro or U.S. dollar, to minimize price volatility.

Read More: New Crypto Bill In France Targets A State Backed Bitcoin Reserve">New Crypto Bill In France Targets A State Backed Bitcoin Reserve

Bitcoin Magazine

Germany Proposes National Bitcoin Reserve, Views Bitcoin as ‘State-Free’ Money

Germany’s Alternative for Germany (AfD) party has introduced a proposal to create a national Bitcoin reserve. 

The initiative marks a potential turning point for Europe’s largest economy, which only a year ago was criticized for liquidating billions in seized Bitcoin holdings.

The motion, which needs to be approved, would make Germany the first major European nation to integrate Bitcoin directly into its national reserves, signaling a growing shift in Europe toward viewing Bitcoin not as a speculative asset, but as a sovereign reserve instrument. 

AfD’s vision for a Bitcoin as “state-free money”

The AfD’s motion, submitted last week, calls on the federal government to begin accumulating Bitcoin as part of its long-term reserve strategy. 

The proposal argues that the EU’s MiCA framework was designed for centrally issued tokens and should not apply to Bitcoin, which has no issuer or central authority. 

It urges the government to avoid regulatory burdens on non-custodial wallet providers and Lightning node operators, maintain Germany’s tax exemption on Bitcoin held for more than a year, and ensure that private mining or Lightning activity is not classified as commercial. 

The AfD frames Bitcoin as “state-free money” that protects individual freedom in contrast to the planned digital euro, which it warns could enable surveillance and control.

JUST IN: Germany’s second-largest party, AfD, introduced a motion to build a #Bitcoin reserve. pic.twitter.com/TeM4yUoIVe

— Bitcoin Magazine (@BitcoinMagazine) October 29, 2025

In the proposal’s Section I, point 5, the AfD criticizes the German government for failing to recognize Bitcoin’s strategic potential, specifically noting that Berlin has not considered holding Bitcoin as part of its national reserves. 

Later in the explanatory section, the document expands on this idea, describing Bitcoin as “Outside Money” and suggesting that, in times of global monetary and geopolitical instability, it could serve as a “potential, easily transferable asset within state currency reserves.”

The motion marks the first formal attempt in Germany’s legislature to position Bitcoin as a strategic national asset.

Germany: From seller to ‘hodler’

The proposal comes less than a year after the German government completed one of the largest state-level Bitcoin selloffs in history.

Between June and July 2024, German authorities sold nearly 50,000 BTC — originally seized from the operators of the piracy site Movie2k.to — worth about $3 billion at the time. 

The selloff triggered a market correction of roughly 18% and drew heavy criticism from the Bitcoin community, which argued that Germany squandered a chance to hold a scarce, appreciating asset.

By mid-July 2024, blockchain data confirmed that wallets linked to the German government were empty, after sending the final tranches of Bitcoin to exchanges and market makers.

A European race for Bitcoin sovereignty

Germany’s move follows closely on the heels of France, where the center-right Union of the Right and Centre (UDR) party, led by lawmaker Éric Ciotti, introduced an ambitious bill to create a “National Bitcoin Strategic Reserve.”

The French proposal targets 2% of Bitcoin’s supply — approximately 420,000 BTC — over a seven-to-eight-year period. It would fund accumulation through surplus energy-powered Bitcoin mining, reallocation of savings programs, and even partial tax payments in Bitcoin.

While both France’s and Germany’s initiatives face significant political hurdles, the timing underscores a recognition in Europe that Bitcoin could serve as a tool for financial sovereignty.

If the momentum continues, Europe could soon find itself not debating whether to hold Bitcoin — but who will hold it first.

This post Germany Proposes National Bitcoin Reserve, Views Bitcoin as ‘State-Free’ Money first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Alternative for Germany or AfD, the second-largest party in the government, has introduced a motion to establish a strategic Bitcoin reserve following a similar move by France. On Oct. 29, the Alternative for Germany party, the second-largest opposition in the…

Bitcoin Magazine

France Proposes National Bitcoin Reserve, Wants to Buy 2% of Bitcoin Supply

A pro-crypto bill will be tabled today in the French Parliament by the center-right Union of the Right and Centre (UDR) party, led by lawmaker Éric Ciotti, marking the first time such a comprehensive legislative proposal on cryptocurrency has been introduced in France. 

The initiative calls for a national Bitcoin Strategic Reserve and aims to position the cryptocurrency as a form of “digital gold” to strengthen financial sovereignty.

The proposed legislation, which is far from approved, would see France aim to acquire up to 2% of Bitcoin’s total supply — roughly 420,000 BTC — over the next seven to eight years, according to the legislation and according to journalist Gregory Raymond.

To manage the reserve, the bill envisions the creation of a Public Administrative Establishment (EPA), similar in structure to France’s gold and foreign-currency holdings.

Funding for the Bitcoin reserve would come from multiple sources. Surplus nuclear and hydroelectric energy would power public Bitcoin mining operations, with adapted taxation for miners to encourage domestic participation.

BREAKING: French politician Éric Ciotti introduced a bill to adapt “the new monetary order by embracing Bitcoin and crypto.” pic.twitter.com/fS7ILfhPq3

— Bitcoin Magazine (@BitcoinMagazine) October 28, 2025

Back in July, French lawmakers submitted a proposal to convert surplus electricity into economic value through Bitcoin mining. The bill outlined a five-year experimental program allowing energy producers to use excess power — particularly from nuclear and renewable sources — for mining. 

The July initiative aimed to tackle France’s recurring issue of energy overproduction, as producers were often forced to sell surplus electricity at a loss due to limited storage. The proposal described this as an “unacceptable economic and energy loss.” 

This new bill would also allow France to retain crypto seized during legal proceedings, and a quarter of funds collected via popular savings schemes, such as the Livret A and LDDS, would be allocated to daily Bitcoin purchases — approximately 15 million euros per day, or 55,000 BTC per year. 

Pending constitutional approval, citizens could also pay certain taxes in Bitcoin.

France explores stablecoins for payments

The bill also emphasizes the use of euro-denominated stablecoins for everyday payments, recognizing them as a credible alternative to traditional payment networks. 

Transactions under €200 would be exempt from taxation and social contributions, and payment of taxes in euro stablecoins would be allowed. 

The proposal explicitly opposes a European Central Bank-controlled digital euro, arguing that a centralized CBDC could threaten financial freedoms and personal privacy.

To support industry development, the legislation proposes adapting electricity taxation for mining through a progressive excise duty and flexible tariffs for data centers. It also encourages institutional adoption of Bitcoin and other crypto-assets via Exchange Traded Notes (ETNs) and calls for revisions to European prudential rules, which currently impose high risk-weightings on certain crypto-assets, limiting the use of crypto as collateral for “Lombard” loans.

Despite its ambitious scope, the bill faces steep political hurdles. The UDR holds only 16 of 577 seats in the National Assembly, making adoption unlikely without broader support.

This post France Proposes National Bitcoin Reserve, Wants to Buy 2% of Bitcoin Supply first appeared on Bitcoin Magazine and is written by Micah Zimmerman.